Bitcoin ETFs on Track for Week of Net Inflows After Market Turbulence, Pulls $147 Million

Key Takeaways

• Spot Bitcoin ETFs have drawn $585.3 million in net inflows since Monday, July 8.
• The cumulative total net inflows after 124 trading days is now $15.42 billion.
• Smaller BTC ETF funds are beginning to secure higher daily inflows on average.

Uncertain market conditions have failed to deter institutional investors as U.S. spot Bitcoin (BTC) exchange-traded funds (ETFs) post yet another day of net positive inflows.

Interestingly, there is stiff competition amongst BTC ETF funds as smaller issuers such as Franklin Templeton begin to climb the ranks.

Inflow Hot Streak

U.S. spot BTC ETFs are on a winning streak as they record their fourth day of consecutive inflows exceeding $100 million as institutions continue to bet big on BTC.

As per data from Farside Investors, spot BTC ETFs scored a total of $147.4 million in net inflows on July 10. The Fidelity Wise Origin Bitcoin Fund (FBTC) led the charge with $57.8 million, followed by an impressive $31.7 million from Franklin Bitcoin ETF (EZBC), its biggest gain since the start of May.

The BlackRock iShares Bitcoin Trust (IBIT) saw a significant drop in inflows, posting $22.2 million of inflows. Though this does seem small, IBIT drew a total of $308.2 million for July 9 and July 10.

The CoinShares Valkyrie Bitcoin Fund (BRRR) also relished in solid gains, adding $20.7 million to its balance sheets. As for the Grayscale Bitcoin Trust (GBTC), it seems that it is struggling to remain competitive, posting yet another day of outflows – albeit a small $8.1 million.

Bitcoin ETF Winners and Losers

As pointed out by ETF Store President, Nate Geraci , one of the more surprising results is the phenomenal success of IBIT, and how it has managed to draw more capital in a single day (July 9) than a majority of other ETF products that launched this year.

Furthermore, Geraci notes that U.S. spot BTC ETFs have taken in $15 billion so far, which outshines thousands of other ETF products, bar a hundred or so. Alone, IBIT has seen $18.07 billion in net inflows, whilst GBTC has seen $18.62 billion in net outflows.

Within six months, GBTC has gone from being in an incredibly dominant market position with over $30 billion in assets under management (AUM) to now being in second position with $15.69 billion in net assets.

BlackRock’s IBIT is in first place, commanding $17.98 billion in net assets, and FBTC is climbing the ranks with a cumulative net inflow of $9.57 billion and over $10 billion in net assets.

GBTC Struggles

Unfortunately, GBTC, the second largest fund by AUM, has been unable to break from its losing streak. Many believe this is due to GBTC’s considerably high fee of 1.5%, which is six times higher than most other funds with fees of 0.25% or under.

Speculatively, with BTC’s price still hovering under $60,000 and exceptionally high trading volumes, flow data would seem to suggest that investors have departed from GBTC to shore up with other funds with lower fee rates.

GBTC has only seen nine days of net inflows since launching and has averaged daily outflows in the hundreds of millions.